Desi Farms gets BSE nod for ₹135 swap issue in 2026

What the BSE approval covers

Desi Farms India Limited has received in-principle approval from BSE Limited for a preferential issuance of equity shares, Compulsorily Convertible Preference Shares (CCPS), and Compulsorily Convertible Debentures (CCDs). The securities will be issued at an issue price of ₹135 per instrument, with a face value of ₹10 each. The issuance will be carried out through a share swap arrangement involving both promoters and non-promoters. BSE granted the approval under Regulation 28(1) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

The exchange also clarified that the in-principle approval is not the same as approval for listing. Desi Farms must separately file a listing application and complete post-issue formalities, including submission of applicable fees under Regulation 14 of the LODR Regulations.

Instruments approved and how many will be issued

BSE approved the issuance of 3,21,20,990 equity shares, 37,61,600 CCPS, and 50,66,356 CCDs. The CCPS will carry a 3% coupon rate, while the CCDs will carry a 5% coupon rate. All three instruments are being issued for consideration other than cash. The company has disclosed that the CCPS and CCDs are structured to convert into equity shares at the predetermined price.

The conversion quantities disclosed are one-for-one into equity for both instruments. Specifically, 37,61,600 equity shares are to arise from CCPS conversion, and 50,66,356 equity shares are to arise from CCD conversion.

Issuance details table

Share swap backdrop and acquisition references

The preferential issuance is tied to a share swap. In its disclosure under Regulation 30 (LODR) relating to a preferential issue, Desi Farms referred to issuing securities on a preferential basis to shareholders of SNA Milk and Milk Products Limited and DFSU Farmer Connect Private Limited. The company also referenced a proposed acquisition of SNA Milk and Milk Products Limited and DFSU Farmer Connect Private Limited in exchange of securities (share swap) of SER Industries Limited.

Separately, SER Industries Limited had informed BSE about a Board meeting scheduled on 20/01/2026 to consider and evaluate a proposal for issuance of equity shares or other eligible securities through a preferential issue, subject to regulatory and shareholder approvals.

SEBI ICDR compliance requirements highlighted by BSE

The exchange has set out compliance expectations linked to Chapter V of the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018. Desi Farms has been advised to strengthen internal controls to monitor trades executed by the proposed allottees. The company must obtain an undertaking from allottees confirming they will not engage in intra-day trading or sell any shares of the company until the allotment date.

BSE stated that the onus of verifying this compliance rests solely with the issuer company. The stated purpose is to avoid violations of the ICDR framework for preferential issues.

Listing application deadline and potential penalties

After allotment, Desi Farms is required to submit a listing application within twenty days to the recognised stock exchanges, as per Schedule XIX – Para (2) of the ICDR Regulations. The disclosure also notes that failure to comply with this timeline may result in penalties. The penalty reference cited is SEBI circular no. SEBI/HO/CFD/PoD-2/P/CIR/2023/00094 dated June 21, 2023.

BSE also reserved the right to withdraw the in-principle approval if any information provided is later found to be incomplete or misleading. This condition is a standard risk factor for issuers where approvals are contingent on the accuracy and completeness of submissions.

Recent governance update

Desi Farms India Limited appointed Mrs. Garima Priyani as Company Secretary and Compliance Officer with effect from June 22, 2026. The appointment is relevant in the context of the company’s ongoing regulatory processes, including preferential issue compliance, monitoring requirements, and post-allotment filings.

Stock snapshot and identifiers (as disclosed)

Desi Farms India Ltd was reported trading at ₹610.75, which was -2.00% lower compared to the previous closing price of ₹623.20, at Tue Jun 16 2026 09:49:57. The company’s BSE scrip code is 507984 and the ISIN referenced is INE358F01013.

A separate disclosure also cited that, as of 6 June 2025, the market capitalisation was approximately ₹63.1 crore.

Company profile and name change

Desi Farms India Limited provides transportation and logistics services in India. The company was formerly known as SER Industries Limited and changed its name to Desi Farms India Limited in March 2026. It was incorporated in 1963 and is based in Pune, India.

In another corporate update referenced in the provided material, an Extra-ordinary General Meeting held on February 20, 2026 approved a name change to “Desi Farms India Limited” and authorised a set of financial changes. These included increasing borrowing powers to ₹200 crores, authorising loans, guarantees, or investments up to ₹800 crores, and increasing authorised share capital from ₹6 crores to ₹46 crores. The same update linked the capital actions to funding acquisitions of SNA Milk and Milk Products Limited and DFSU Farmer Connect Private Limited, supported by preferential issuance approvals.

Why the in-principle approval matters

The BSE’s in-principle approval is an early but necessary step in the preferential issuance process, particularly where the consideration is non-cash through a share swap. It allows the company to proceed towards allotment, subject to compliance with SEBI ICDR and the post-issue requirements under LODR. The additional conditions on allottee trading underscore the regulator’s focus on preventing misuse during the preferential allotment window.

The company’s next procedural step, as described, is to complete the allotment and then file for listing within the stated twenty-day window. The BSE’s reminder that in-principle approval is not listing approval is significant, because the securities can only become tradeable on the exchange after separate listing formalities are completed.

Conclusion

Desi Farms India Limited’s BSE in-principle approval covers a preferential share swap issuance of equity shares, CCPS, and CCDs at ₹135 per instrument, with CCPS and CCDs designed to convert into equity. The company must comply with SEBI ICDR requirements, including monitoring allottee trading and obtaining undertakings, and must submit a listing application within twenty days of allotment under the ICDR framework. The next disclosures to watch will be allotment completion and the subsequent listing application filings with the recognised stock exchanges.